Prices of fuels purchased by manufacturing industry in Great Britain (p/kW

Publication date: 30-Jun-2016

Data period: Provisional data for 2015
Next Update 29-Sep-2016

Contents
Main points Highlights page - with commentary on recent price movements
Tables Table 3.1.4: Annual prices of fuels purchased by manufacturing
Charts Charts - showing price trends
Notes Background notes to table
Methodology Methodology notes
Historic data Annual data from 1990

Background
Data in these tables shows annual fuel prices for manufacturing industry in GB in pence per k
Data is shown excluding the Climate Change Levy (CCL) in current (cash) terms.
Data is available back to 1990 on the historic data sheet.

Further information
Publication
Website
Data sources & methodology
Revisions policy
Glossary of terms
Quarterly Energy Prices
prices of fuels purchased by manufacturing industry
industrial price statistics data sources and methodologies
Energy statistics revisions policy
Digest of United Kingdom Energy Statistics (DUKES): glossary

Contacts
DECC Press Office (media enquiries) tel: 0300 064 4000
Statistician: Jo Marvin tel: 0300 068 5049
eat Britain (p/kWh)

ent price movements

sed by manufacturing industry in GB

n GB in pence per kilowatt-hour (p/kWh).

g industry
methodologies

s (DUKES): glossary and acronyms

tel: 0300 064 4000 e-mail pressoffice@decc.gsi.gov.uk

tel: 0300 068 5049 e-mail: jo.marvin@decc.gsi.gov.uk
Table 3.1.4 Prices of fuels purchased by manufacturing industry(1)

Main points

Final data for 2015 shows that over the past five years (2010 to 2015) average industrial
electricity prices have risen by 22 per cent (13 per cent in real terms), with an increase of
1.5 per cent (1.2 per cent in real terms) in the last year.

Over the same period average industrial gas prices have increased by 11 per cent (2.9
per cent in real terms), but have decreased by 14 per cent (14 per cent in real terms) over
the last year.

Last updated 30 June 2016

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Table 3.1.4 Prices of fuels purchased by manufacturing industry(1)
Excluding the Climate Change Levy
Great Britain
Pence per kWh
Size of consumer 2009 2010 2011 2012 2013 2014 2015
Coal(6)(10) Small 1.565 .. .. .. .. .. ..
Medium 1.078 .. .. .. .. .. ..
Large 0.746 0.856 0.943 0.922 0.949 0.937 0.867
All consumers - Average 0.805 0.933 1.036 1.012 1.065 1.065 0.940
Median(2) 1.379 .. .. .. .. .. ..
Heavy fuel oil(3)(6)(9) Small 3.546 4.260 5.257 5.478 5.676 4.696 3.414
Medium 3.182 3.875 4.517 4.982 4.889 4.365 3.458
Large 3.164 3.946 4.889 5.091 4.794 4.362 2.631
Of which: Extra large .. .. .. .. .. .. ..
Moderately large .. .. .. .. .. .. ..
All consumers - Average 3.221 3.962 4.807 5.104 4.943 4.407 3.022
Median(2) 3.256 4.049 4.964 5.232 5.439 4.901 3.504
Gas oil(3) Small 4.018 4.897 6.194 6.537 6.454 5.939 4.385
Medium 4.006 4.912 6.066 6.386 6.358 5.926 4.519
Large 3.814 4.655 5.793 6.014 5.884 5.310 3.998
All consumers - Average 3.848 4.699 5.844 6.083 5.969 5.417 4.085
Median(2) 3.952 4.837 6.139 6.409 6.351 5.792 4.322
Electricity Small 9.817 8.804 8.528 9.504 9.834 10.434 10.843
Medium 8.836 7.484 7.794 8.491 8.672 9.121 9.129
Large 6.484 5.964 6.468 6.742 7.237 7.117 7.251
Of which: Extra large 5.078 5.180 5.785 6.093 6.535 6.089 6.291
Moderately large 7.571 6.570 6.996 7.245 7.780 7.912 7.993
All consumers - Average 7.270 6.512 6.922 7.343 7.749 7.814 7.932
10% decile(2) 6.146 6.068 6.621 7.017 7.476 7.697 7.902
Median(2) 9.146 7.729 7.998 8.713 8.984 9.434 9.601
90% decile(2) 12.800 10.723 10.107 10.802 11.126 11.329 11.727
Gas(4) Small 2.931 2.793 2.887 3.212 3.371 3.410 3.118
Medium 2.534 2.242 2.405 2.602 2.809 2.796 2.533
Large 1.797 1.642 2.047 2.239 2.479 2.138 1.821
All consumers - Average 1.906 1.738 2.109 2.306 2.540 2.243 1.932
Firm 2.000 1.861 2.218 2.393 2.597 2.375 2.075
Interruptible 1.827 1.635 2.017 2.232 2.493 2.134 1.813
10% decile(2) 1.488 1.533 1.969 2.170 2.418 2.173 1.915
Median(2) 2.625 2.307 2.502 2.802 2.947 2.914 2.726
90% decile(2) 4.752 4.274 4.849 5.187 5.468 4.798 4.857
For notes see notes page
 Chart of Fuel Prices for Manufacturing Industry, Cash
9 1990 to 2015
Coal
8
Pence per kWh

Gas

Electricity
7 Heav y Fuel Oil

0
1990

1991

1992

1996

1997

1998

2007

2008
1993

1994

1995

1999

2000

2001

2002

2003

2004

2005

2006
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2005

2006

2007

2008

2009

2010

2011
g Industry, Cash Terms,

2012

2013

2014

2015
Notes for Tables 3.1.1 to 3.1.4
(1) Average prices paid (exclusive of VAT) by respondents to a Department of Energy and Climate Change
(DECC) survey of some 600 manufacturing sites. The average price for each size of
consumer is obtained by dividing the total quantity of purchases, for each fuel, into their total value.
Prices vary widely around the average values shown (see footnote 2). Purchases of fuels used as raw
materials in manufacturing are excluded. For further details, see Annex A.
(2) The 10% decile is the point within the complete range of prices below which the bottom 10% of those
prices fall. Similarly the 90% decile is the point above which the top 10% of prices occur. The median is
the midway point. Thus, these values show the spread of prices paid. The deciles and the median are
calculated by giving equal 'weight' to each purchaser but scaled to represent the mix of fuel users by
size in the industrial population that the panel represents, whereas the average prices for each size-band
and all consumers are given 'weight' according to the quantity purchased. The 10% and 90% deciles
are not published from Q1 2005 onwards, except for gas and electricity.
(3) Oil product prices include hydrocarbon oil duty. From 23 March 2011 the effective duty rates per tonne
are 108.18 for Heavy Fuel Oil and 128.77 for gas oil.
(4) Covers all supplies of natural gas including, for example, those purchased direct from onshore/offshore
gas fields. Respondents purchasing more than one type of supply (firm contract and interruptible
contract) are treated as separate entities in respect of each type of supply.
(5) From Q1 1998 tariff gas prices are not collected separately and are included in the firm contract prices.
The 90% decile and average firm contract price will be affected by contributors who previously had
separate contracts for tariff and firm contract gas. In Q4 1997, tariff gas represented a weight of around
1% of the sample.
(6) It should be noted that prices for these fuels are drawn from small samples.
(7) Excludes breeze and blast furnace supplies.
(8) Following a consultation with users, this data is no longer published.
(9) Extra-large and moderately large splits are no longer published (from Q2 2008)
(10) Only large and average prices are published (from Q1 2010). Average prices will be produced with the
provisional prices, large prices with the final prices.
The source of the original data is ONS.
Prices are shown for various sizes of consumers. These sizebands are defined in terms of the approximate annual
purchases by the consumers purchasing them, as shown in the table below.

Range of annual purchases of which:

Fuel Large Extra large Moderately Medium Small
large
Greater than Greater than Less than
Coal (tonnes) 7,600 n/a n/a 760 to 7,600 760
Heavy fuel oil (tonnes) 4,900 n/a n/a 490 to 4,900 490
Gas oil (tonnes) 175 n/a n/a 35 to 175 35
Electricity (thousand kWh) 8,800 150,000 8,800 to 150,000 880 to 8,800 880
Gas* (thousand kWh) 8,800 n/a n/a 1,500 to 8,800 1,500
*Respondents purchasing more than one type of supply (firm contract and interruptible contract) are
treated as separate entities in respect of each type of supply.

The Climate Change Levy (CCL) came into effect in April 2001. Information on the operation of the CCL is available
on the HM Revenue and Customs web site at https://www.gov.uk/government/organisations/hm-revenue-customs
Although data from the Quarterly Fuels Inquiry cannot currently be used to produce estimates of the amount
of levy paid by size of consumer, it has been used to give an estimate of the average amount of levy paid
for coal. Data from suppliers has been used to produce estimates of the average amount of
levy paid on gas and electricity.
Table of the average amount of Climate Change Levy paid by fuel type
Fuel Full rate of Levy(i) Average amount paid (ii)
Q2/15 Q3/15 Q4/15 Q1/16
Coal 15.12/tonne 6.2/tonne 6.1/tonne 6.3/tonne 6.2/tonne
Electricity 0.554p/kWh 0.28p/kWh 0.29p/kWh 0.35p/kWh 0.37p/kWh
Gas 0.193p/kWh 0.11p/kWh 0.10p/kWh 0.10p/kWh 0.11p/kWh
LPG 12.40/tonne .. .. .. ..
(i) The levy rates shown here are the rates from April 2015. Previous rates are shown in Annex A
(ii) estimated
Tables 3.1.1 to 3.1.4

Prices are derived from information collected via the Quarterly Fuels Inquiry on fuel purchases from a panel of
generation). The panel consists of companies purchasing fuels in small and large quantities. To maximise the
surveyed proportionally more than smaller users.

Provisional quarterly data is published three months in arrears, with final data being published six months in a
the March edition of QEP, with final annual data being published in June. The entire year's quarterly data is re
been placed in the correct size band based upon their annual consumption. This means that there can be rev

For each size of consumer the average price for a fuel (exclusive of VAT) is calculated by dividing the total qua
weighting and weights the prices for each size band according to purchases by businesses in the size band re
years until 1989, and conducted annually for a rotating selection of industries from 1994 to 1999. From 1999
of materials and fuels by the whole of UK industry.) The weights will be reviewed when comprehensive up-to-
individually, according to the approximate range of annual purchases covered. (See Notes page).

As described above the prices given are representative market prices. This means trades that, because of the
excluded. For example, coal purchased by the iron and steel sector is excluded, as is gas purchased for elect

For some fuels, the relative size in volume terms of the largest users can have the effect of moving the weight
the growth in consumption, the weights provided by the 1984 purchases survey may be out of date. Therefore
of the prices paid are higher and 50 per cent lower) may be another useful guide to average prices.

Data for medium fuel oil, liquefied petroleum gases and hard coke were discontinued from Q1 2005. There wa
gases and hard coke owing to the small number of sites purchasing each of these fuels. The small sample siz
meant that, although the prices were still representative, they could be subject to more sample effects than the

To enable coal prices to be calculated in common units, companies record the calorific value of the coal they p
petroleum gas and hard coke are given in Annex B.

The 10 per cent and 90 per cent deciles and the median price for each fuel are presented in addition to the pri
prices below which the lowest 10 per cent of those prices fall. Similarly, the 90 per cent decile is the point abo
of the spread of prices paid by purchasers. The deciles and the median are calculated by giving equal "weigh
industrial population that the panel represents. From Q1 2007, decile information is only published for gas an

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uel purchases from a panel of about 600 establishments within manufacturing industry (which excludes electricity
e quantities. To maximise the coverage of each fuel type and minimise the burden on business, larger users are

ing published six months in arrears. Any revised data is marked with an r. Provisional annual data is published in
tire year's quarterly data is reviewed the following June to ensure that each of the contributors who supply data have
s means that there can be revisions made to data from Q1 to Q4 at this time.

ulated by dividing the total quantity of purchases into their total value. The "all consumers-average" price uses base
usinesses in the size band recorded in the 1984 Purchases Inquiry. (This is a large scale survey conducted every 5
m 1994 to 1999. From 1999 the inquiry has once again covered all industries, providing information on the purchases
d when comprehensive up-to-date purchases data are available. The size bands are defined, for each fuel
See Notes page).

ns trades that, because of their size or dominance of total consumption would produce an unrepresentative price, are
as is gas purchased for electricity generation.

e effect of moving the weighted average more towards the large user price. This is true for gas where, because of
may be out of date. Therefore, for some fuels (e.g. gas and gas oil), the median price (the price at which 50 per cent
to average prices.

nued from Q1 2005. There was no sub-division into size bands of the prices for medium fuel oil, liquefied petroleum
e fuels. The small sample sizes reflect the small overall consumption, relative to the major fuels covered, which
more sample effects than the other fuels (e.g. if a relatively large purchaser switches fuel).

alorific value of the coal they purchase. Conversion factors for fuel oil (both heavy and medium), gas oil, liquefied

resented in addition to the prices for each size band. The 10 per cent decile is the point within the complete range of
er cent decile is the point above which the highest 10 per cent of the prices occur. These values give some indication
ulated by giving equal "weight" to each purchaser, but are scaled to represent the mix of fuel users by size in the
n is only published for gas and electricity.
 excludes electricity
s, larger users are

al data is published in
who supply data have

age" price uses base

ey conducted every 5
mation on the purchases
or each fuel

epresentative price, are

s where, because of
e at which 50 per cent

l, liquefied petroleum
ls covered, which

m), gas oil, liquefied

the complete range of

es give some indication
sers by size in the
Table 3.1.4 Prices of fuels purchased by manufacturing industry(1)
Great Britain
Size of consumer 1998 1999 2000 2001 2002
Coal (1) Small 0.776 0.778 0.763 0.775 0.781
Medium 0.616 0.609 0.598 0.607 0.614
Large 0.449 0.442 0.444 0.457 0.470
All consumers - average 0.477 0.469 0.470 0.482 0.494
10% decile (3) 0.521 0.545 0.541 0.545 0.536
median (3) 0.687 0.689 0.674 0.682 0.704
90% decile (3) 0.916 0.971 0.982 1.152 0.884
Heavy fuel oil (2) Small 0.735 0.800 1.190 1.167 1.253
Medium 0.688 0.770 1.090 1.122 1.150
Large 0.576 0.690 1.020 0.963 1.077
Of which: Extra large 0.538 0.650 1.000 0.942 0.991
Moderately large 0.644 0.760 1.030 1.001 1.022
All consumers - average 0.636 0.740 1.070 1.045 1.097
10% decile (3) 0.604 0.634 0.850 0.920 0.999
median (3) 0.716 0.790 1.144 1.143 1.244
90% decile (3) 0.926 1.059 1.467 1.502 1.469
Gas oil (2) Small 1.206 1.211 1.764 1.787 1.726
Medium 1.101 1.134 1.737 1.728 1.619
Large 0.974 1.070 1.563 1.586 1.526
All consumers - average 0.999 1.083 1.594 1.612 1.545
10% decile (3) 0.914 0.900 1.304 1.389 1.405
median (3) 1.086 1.126 1.660 1.739 1.644
90% decile (3) 1.344 1.480 2.217 2.056 1.956
Electricity Small 5.575 5.377 5.361 4.913 4.583
Medium 4.247 4.193 4.044 3.677 3.493
Large 3.295 3.267 3.100 2.788 2.662
Of which: Extra large 2.922 2.903 2.739 2.460 2.415
Moderately large 3.584 3.548 3.380 3.041 2.853
All consumers - average 3.667 3.623 3.469 3.135 2.983
10% decile (3) 3.820 3.778 3.557 3.206 3.086
median (3) 5.172 5.110 4.822 4.364 4.281
90% decile (3) 6.947 6.810 6.814 6.502 6.356
Gas Small 0.920 0.884 0.950 1.140 1.193
Medium 0.746 0.729 0.765 0.978 1.015
Large 0.530 0.513 0.579 0.786 0.738
All consumers - average 0.560 0.546 0.606 0.816 0.780
firm 0.633 0.605 0.657 0.884 0.869
interruptible 0.498 0.487 0.549 0.760 0.705
tariff .. .. .. .. ..
10% decile (3) 0.592 0.606 0.620 0.763 0.870
median (3) 0.861 0.851 0.865 1.093 1.176
90% decile (3) 1.177 1.175 1.255 1.443 1.562
Medium fuel oil (2)
All consumers - average 0.727 0.882 1.159 1.226 1.243
Liquefied petroleum gases
All consumers - average 1.103 1.048 1.440 1.346 1.309
Hard coke (4)
All consumers - average 1.364 1.297 1.362 1.317 1.320